MSCI downgrades RO utility company Electrica from Frontier index
The shares of Electrica, the Romanian electricity supplier and distributor whose largest shareholder is the Romanian state (48.8%), were downgraded in the structure of the MSCI indices, Ziarul Financiar reported.
Thus, MSCI - the largest index provider in the world, which classifies the Bucharest Stock Exchange (BVB) as a frontier market - decided to eliminate Electrica from the structure of its main index - MSCI Frontier Markets, and to transfer it to the MSCI Frontier Markets Small Caps index, which is dedicated to companies with smaller capitalisation thus out of the sight of the largest-sized investors.
At the same time, the shares of the Romanian telecom group Digi were totally removed from the MSCI FM Small Caps index.
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